Case Studies

by Arthur Athanasiou, CTA The accruing of expenses solely for the purpose of artificially reducing profits is not just dangerous, it can be downright criminal! Recently, a good friend of mine who practises as a principal of a small accounting firm rang me to ask a question, knowing full well what my response would be. ...

ACTING EARLY CAN SAVE A BUSINESS BACKGROUND A husband and wife were directors of a company that operated a manufacturing business. The husband had day-to-day control of the business while the wife didn’t have too much involvement with the business, as she was raising the family. The company had been in business for over 15 ...

Why registering a security is important? A husband and wife meet with their accountant and purchase a shelf company. They become equal company directors and shareholders. Their bank provides the directors with an overdraft for the company’s working capital; the directors lease some premises, and open the doors for trade. When providing the overdraft, the ...

A practical approach Understandably, how a bankruptcy trustee deals with assets owned, or income earned by someone that goes bankrupt, is confusing – as every situation is unique. This case study provides some clarity on exactly how a trustee deals with the more common assets of a bankrupt. Background At the commencement of a bankruptcy, ...

Two individual clients of Bryant & Bryant were served with Reassessments by the Australian Taxation Office bringing to account Capital Gains Tax assessments in respect of the sale of business previously overseen by Bryant & Bryant many years earlier.

Though this firm had been founded many years earlier, rapid growth meant that it now had the wrong structure. It had been established as a sole trader, rather than an alternate entity, causing it to pay unnecessarily high levels of tax.